Business houses buying tickets for individuals need to provide details about their GST registration to the airlines in order to avail benefits under the new tax regime. The Goods and Services Tax (GST) framework, which came into effect from July 1, provides for certain input tax credit on air tickets. "It is now mandatory for guests travelling for business to add their company's GST details at the time of booking. The GST rate on the first class and higher class tickets is 12 per cent while the rate is 5 per cent on economy class tickets. In its communication, Jet Airways also made it clear that "any bookings for leisure travel will not be entitled for GST benefits".

Source: dna July 02, 2017 13:48 UTC